Employee Retention Tax Credit (ERC)

The Employee Retention Credit (ERC) – sometimes called the Employee Retention Tax Credit or ERTC – is a refundable tax credit for certain eligible businesses and tax-exempt organizations that had employees and were affected during the COVID-19 pandemic. The requirements are different depending on the time period for which you claim the credit. The ERC is not available to individuals.

Grant Deadline

Deadline not available

Funding Amount

Range between $1 - $50,000 _{per quarter}

Type of Grant

Tax Credit

Sectors

All Sectors

Demographics

Incorporation

For Profit

Perks

Region Restriction

This grant is restricted to whole of United States

Keywords

agriculture, tax credit, sustainable employment, utility deposits, COVID relief, Pandemic, Refundable Retention, Advance Payment, Otherwise Required

Age Restriction

This grant is age restricted from 18 to 100

Eligibility and Requirements

1) operate a trade, business or tax-exempt organization

2) have employees and pay wages to them between March 13, 2020, and Dec. 31, 2021

3) trade or business experienced the required decline in gross receipts during the eligibility periods in 2020 or the first three calendar quarters (Jan. through Sept.) of 2021

4) the operation of your business or organization fully or partially suspended by a government order due to the COVID-19 pandemic during 2020 or the first three calendar quarters (Jan. through Sept.) of 2021?

• The order must be a government order, not guidance, a recommendation or a statement.

• The government order must be due to the COVID-19 pandemic and must have fully or partially suspended your operations.

• You can only claim ERC for periods the order was in effect and your operations were suspended.

5) Were you a recovery startup business (RSB)? This means you:

• Began carrying on a trade or business after Feb. 15, 2020,

• Had $1 million or less in average annual gross receipts for the prior 3 tax years, and

• Didn’t qualify for ERC under the gross receipts test (#2) or suspension test (#4)?

Grant Application website

https://www.irs.gov/newsroom/new-law-extends-covid-tax-credit-for-employers-who-keep-workers-on-payroll

Contact

https://www.irs.gov/help/contact-your-local-irs-office

https://www.irs.gov/help/contact-my-local-office-internationally